Michigan Senate Committee OKs Blue Cross Overhaul

A legislative committee has approved bills to overhaul Blue Cross Blue Shield of Michigan that don't include abortion provisions that led Republican Gov. Rick Snyder to veto the measure in December.

Credit Blue Cross

Legislation passed quickly on Tuesday would transform the state's largest health insurer from a charitable trust into a customer-owned nonprofit. The bills aren't expected to run into much resistance in the Republican-led Senate.

Less clear is how they'll fare in the GOP-controlled House, where newly elected members know less about the issue.

Snyder opposed the last-minute addition of language that would have barred insurers and businesses from providing elective abortion coverage.

The legislation would repeal a law that gives Blue Cross immunity from paying taxes in exchange for providing insurance coverage regardless of a customer's health status.